RFID Gazette

RFID Tag A Tree?

RFID can be used for many more applications than might seem evident. Subni RFID Webservice is a social networking website that encourages people to tag objects and map metadata to this site's database. For example, if you tag a tree, I presume that you can share information such as latitude/ longitude, type, age, city, country, date of tagging condition of tree, etc.

I say "presume" because while you have to register to use the service, they tell you after you waste time filling out the form that they're not taking new members. (They also don't bother setting up the form for anyone outside the U.S.) However, their applications page diagrams what look like very interesting applications - with no text whatsoever to describe them, unfortunately.

Basically, at the time of this writing, this site is a tease, hinting at what could be. Very frustrating but also exciting. For example, they describe a Subni application called Soundtag, which converts information from an RFID tag on a prescription bottle to sound. This would help visually impaired people know that they have the right medication. This is a brilliant idea, and while other companies might be doing something similar, I haven't come across it elsewhere.

Other applications that they describe on the site suggest tagging physical objects. This has the potential for some powerful municipal applications.

For example, amongst the client computing projects that I've worked on, one of the more interesting ones was a forestry-style application for a municipal tree database. For the sample database, I drove around wooded areas and photographed a few clusters of trees. Theoretically, I would have attached some identifying badge to each tree, then recorded approximate geographic coordinates. This information from the field would have been synced up with a central database later, when I "got back from the field."

Now imagine if there was an easier way to manage such a database, and make it central. So put it online, and use durable RFID forestry tags. Provided handheld readers have a wireles connection to the Internet, field agents could update a database - private or public - in real-time. Add environmental sensors and a memory device like the i-Disk RFID flash drive, and environmental conditions could be stored for later analysis.

In fact, any municipal assets such as park benches and bus shelters, could be tagged in this manner. What might also help is a means for citizens to report problems with an asset. At present, if a tree goes down, a bus shelter is smashed, etc., a citizen makes a call and gives the nearest intersection.

In the future, they might be able to use their NFC-enabled cell phone (dual-mode Wi-Fi/ cellular) to call in the information using a VoIP application over a municipal Wi-Fi network. The VoIP client could file-share the data from the asset's RFID tag, minimizing what a citizen has to do. And if tags had IP addresses, like RuBee tags do, the information could be accessed remotely, saving municipalites the cost of gasoline, wear and tear on city vehicles, and the scheduling of personnel - except when needed.

New Diet Courtesy Of Your RFID-Enabled Fridge?

This sort of thing has been tried with different technologies in the past, but now Samsung has a refrigerator that uses RFID to tell you when certain foods are running low. [All Headline News via RFID News] Of course, to facilitate this, all of your food would have to have item-level tags. (Though there are a few produce suppliers who are experimenting with food grade RFID tags.)

Now here's where the really interesting stuff comes in: connecting a refrigerator to a cell phone. So, if both your phone and fridge have a wireless technology such as Bluetooth, the fridge could transfer information to your handset. In fact, if you had the right application, the whole setup could create a shopping list for you. My feeling is that we'll see more of these types of solutions. Though whether they are a good thing for humanity or will just make us more lazy has yet to be seen. Just make sure you pay your cell phone bill, or you may you go hungry.

RFID Roundup - Sat Nov 25/06

RFID Mirrors
A new mirror from Paxar for the retail clothing industry uses RFID technology to help customers learn more about a particular item of clothing, including garment descriptions and suggestions for matching items and accessories. Touching the mirror will also signal sales staff that a customer needs assistance. [via The Retail Bulletin]

RFID + Parking
"Meter maids" are getting help with the out of control parking situation in South Korea thanks to RFID tags on every car. Handheld readers would scan car tags to determine if a particular car is allowed in the city on a given day, and a fine issued if not. [via PSFK]

Managing RFID Adoption
Line56 has a three-page article outlining how to break RFID adoption into five stages, to more easily understand what your returns might be, as well as how process workflow might be impacted. The five stages they discuss are Creep, Crawl, Walk, Run, and Sprint - the latter of which includes actual implementation. I've only scanned the article but it does appear to have some generalized value for a manager researching how to go about RFID implentation for their company.

Marks & Spencer Clothing Stores To Rollout RFID

One of my biggest beefs with large department stores is that there is so much variety of style and size that I often can't find what I need. Marks & Spencer is one clothing retailer that is trying to solve this and other inventory management problems through RFID.

Based on a successful trial, M & S plans to triple the number of their stores, up to 120, that will use RFID item-level tags on merchandise. Their target period is spring 2007. During the trial period, the retailer doubled the number of their tagged items to nearly 50Mln over the summer and fall seasons. This necessitated item tagging by 15 suppliers in 20 countries. The current trial involves items from six clothing departments, which will be expanded to thirteen by fall of 2007. Said James Stafford, head of clothing RFID,

Stock accuracy has improved and stores and customers have commented on the more consistent availability of sizes in the pilot departments.

This highlights one of the benefits of item-level RFID tagging in retail: more efficient control of out-of-stock items. Better inventory management, of course, leads to satisfied customers who can actually find what they're looking for, in their size, and thus greater profits.

[sources: Computer Weekly, VNUNet]

Tagging Books With RFID

Libraries are already tagging books and other inventory with RFID, so it's not surprising that some large bookstores, such as the Dutch BGN [via Silicon] chain, are also chipping books. The book applications of RFID are essentially the same with in both environments, with the exception that one is selling the inventory. But when big book chains first started up and the trend caught on, they slashed the profit margins to themselves, publishers and authors. Obviously, this is an application where item-level tagging is essential.

Given the cost of item-level tags compared to case- and pallet-level, you'd think bookstores would be reluctant to reduce their margins even further. On the other hand, since using RFID means reducing the chances that a book doesn't get sold because it was mis-shelved, the ROI (return on investment) may be worth the 14-month wait they are expecting. While BGN is claiming that it's easier to track out of stock and popular books, it's really nothing that barcodes cannot do. However, one great advantage of item-level RFID is that inventory can be done without shutting up shop and having the entire staff document everything. And that kind of ROI is very measurable.

Volkswagen + Jaguar Using RFID

Apparently Volkswagen doesn't seem to have the financial problems that some American auto makers are having. In fact, Volkswagen is doing so well that they have a theme park which has up to 700 visitors daily. But instead of going on rides, visitors come for their ride, to pick up their car. They do this to save on the delivery charge for their vehicle. This quantity of visitors at the theme park (supposedly the second-most popular in Germany) has to organize the visits so that people get their cars in good time. So they use RFID to manage the process. RFID Weblog summarizes the process.

Jaguar cars are also tracked with RFID in a different manner. Unipart and Savi Networks will jointly be monitoring Jaguar car parts in cargo containers using Savi's information service. The service uses a combination of "bar codes, sensors, passive and active RFID, and GPS." [via Auto Industry UK] Savi, which was acquired by Lockheed Martin, has a hardy container tag which might be suitable for this task. Several other companies are using Savi's tech to monitor cargo.

  By the way, here are 5 other uses of RFID in automotive and related sectors.

Healthcare: Taiwan's Textiles Are RFID-Enhanced

The Taiwanese textile industry is experimenting with technologies and using RFID and solar panels in clothing. Part of the purpose of this hybrid technology is to enable sensors in the clothing to monitor measures such as heart rate, blood pressure and body temperature. RFID technology transmits this information back to a hospital computer system, although it's not clear whether a wearer needs to enter a hospital or visits some sort of data reader kiosk.The Taiwain Textile Research Institute has also managed to embed small, flexible solar panels into a leather jacket. The panels apparently generate enough energy to run a digtal music player. [via InfoWorld]

This is not the first time that RFID has been inserted into clothing, with one purpose being to prevent child abductions. Other purposes of RFID with clothing are for retail security tags and to retain item details.

More RFID Woes: Wal-Mart Sued For Alleged Patent Violation

Wal-Mart is being sued for supposedly violating an RFID-based inventory control patent filed in 2002 by a company called RFID World. Also named in the suit are Gillette (now owned by Procter & Gamble), Michelin, Home Depot, Target, and Pfizer). Visit RFID Journal for more details of the suit.

Wal-Mart and Target are probably two of the largest retailers using RFID for inventory control and supply chain management. Conflicting media reports suggest that Wal-Mart has had some difficulties with their RFID rollout and might have scaled back their expectations, but they say they are moving ahead. Some of their suppliers are reluctant to use RFID because they have not perceived a reasonable ROI (return on investment). As a result, some suppliers have lagged behind expected milestones from Wal-Mart, causing the retailer to get heavy-handed and mandate the use of RFID by all suppliers.

While implementing the technology is often perceived as being expensive, one small manufacturer managed their initial RFID trial for around US$6,000, with just one employee. Part of the misperception might come from the confusion betweeen item-level tagging and pallet- and case-level tagging - the latter two of which are generally less costly than item-level tagging. However, with a lawsuit in progress, one which suggests that suppliers will also be in violation RFID World's patent if they comply with Wal-Mart's standard, it's possible that there will be more setbacks in Wal-Mart'sRFID rollout.

Item-Level RFID Tag Use To Undergo Huge Growth

While item-level RFID tagging has been predicted to be where retailers (and manufacturers) will most benefit from tracking sales of consumer goods, it has not beenwidely implemented because of the cumulative cost of RFID tags, amongst other reasons. However, a study from IDTechEx says that item-level tagging is expected to grow  nearly 100-fold in the next ten years, from about US$0.16B to US$13B. [via MTB Europe; a very thorough article] Compare this to an IDTechEx report from Sep 2005 which predicted sales of US$24.5 B, for all types of RFID tags, by 2015.

Many of the items tagged to date are higher end consumer items - such as the expensive Fusion razor - as well as medical supplies, machine parts, etc. The sheer increase in tag volume expected is what will help grow the industry. It's not hard to predict that the growth from now until 2016 will be exponential, as more companies realize the value to them, in terms of both asset tracking and supply chain management.

The early growth will in turn drive item-level RFID tag prices down, which will then allow less expensive goods and items to be tagged, fueling even further use. There are still issues of radio frequency bands to be worked out, as certain items tagged in some countries would violate bandwidth regulations elsewhere. Each country has a different policy about frequency use, and there is still no single accepted standard worldwide. However, EPCGlobal's EPC (Electronic Product Code) is often considered the defacto standard in the RFID industry. In fact, EPCGlobal's Gen 2 RFID standard was recently accepted by the ISO (International Standards Organisation). This in itself should help propel the use of tags.

Hacking Your Own RFID System To Reduce Risks

Hackers are usually labelled a disruptive lot, but sometimes they are exactly what you need to test a system. Enter the guys from Pure Hacking, professionals who perform what is called ethical hacking - hacking by permission - to test flaws and find potential security problems. While they cover a number of industries, they are focusing expertise in RFID systems, which have been the subject of much media coverage in relation to security issues. [via RFID Journal]

The Pure Hacking team actually uses a structured auditing process for all their tests, RFID-related or otherwise, and even offer an accredited anti-hacking course (non-RFID specific). I'm making an educated guess and saying that a lot of the techniques used to test software is very applicable to RFID systems. An RFID system may be the sum of its parts, but most especially it's the middleware that drives everything. Thus the many system vulnerabilities likely lie in the latter, in terms of allowing access to data. (I'm focusing on in-house issues, not what happens to a tagged item outside of your company. That's another aspect I'll try to discuss later.)

So if you are considering implementing RFID in your organization, it's important that you understand the data access process, even in broad terms. How do you want tag information to be accessed and updated? Do you need to implement layers of authorization for different roles in the company? Do you want a different layer of data available to the companies you supply parts and goods to? Human workflow is just as important as machine workflow. How do you intend for humans and machines to interact in terms of your RFID system? These are the kinds of questions consultants will ask you, before they even consider RFID solutions for implementation.

I know I'm being a bit vague here, but your company needs will vary by industry. I'll try to get into specific case studies in the future. For now, you can write out your intended workflow details, sketch out rough diagrams, and most certainly make a list of any questions that occur. If you can think of your own "penetration testing" test suite items, jot them down as well. There's a lot to consider here, but assessing your workflow ahead of time, before bringing in any consultants, helps you to be prepared with questions to ask. Knowing potential vulnerabilities ahead of time will help ease you through future hiccups.

RFID Roundup - Fri Aug 04/06

Informit.com has a tutorial on the basics of RFID interrogation zones, courtesy of a sample chapter from Que Books.

RFID Solutions asks, are your RFID tags breaking the chain? The US DoD (Dept of Defense) and giant retailers such as Wal-Mart insist upon their suppliers using RFID for the supply chain. So not only do CPG (Consumer Packaged Goods) suppliers have to comply, they have to ensure that they're shipping with good RFID tags that will not fail somewhere in the supply chain.

Food suppliers in the UK have been slow to use RFID, but with the launch of a new RFID food network, thanks to BT (British Telecommunications), that may change. BT's Auto-ID will provide retailers with 24/7 access to stock data through the supply chain. [via Food Production Daily]

The USDA (US Dept of Agriculture) has approved the RFID-enabled livestock tags of Digital Angel Corp. The intent of the use of these tags is to track livestock shipments and hopefully reduce the spread of a number of diseases, including Mad-Cow, Foot and Mouth, etc. Each tag has an AIN, or Animal Identification Number, which uniquely identifies each head of livestock during its lifetime. [via Biz Journals, More RFID]

The CoBIs project, funded by IST (EU Information Society Technologies) will have RFID-enabled devices, such as drums of chemicals, talking to each other. [via European Process Engineer] CoBIs, which stands for Collaborative Business Items, is a project concerned with developing communication between physical entities using radio frequency and wireless technologies. This is essentially the same as SEDs (Service Enabled Devices).

RFID Roundup - Wed Aug 2/06

Are things really this bad in Australia with their Aus$1.1 billion RFID smartcard project? Well, if it IS like this where I live, I'd prefer a picture of my cat on my healthcard, thank you.

On the other hand, another trial in Australia is showing that RFID is producing benefits in the CPG (Consumer Packaged Goods) supply chain. Participants include Procter & Gamble and Gillette (now owned by P&G). The trial uses EPCGlobal's network. [via RFID Journal]

A Canadian Crown Corporation (i.e., a for-profit, government-owned corporation, but presumably owned by the citizenry) has been using RFID for several months for functional analysis, and the project will now be rolled out with the help of Ship2Save and AAID Security Solutions. [via XTVWorld]

Everton Stadium is introducing their new Everton RFID-enabled smartcard for regular use starting Thur, Aug 3/06. To promote use of the card, holders get loyalty points for its use. [via Paddock Talk] I'm not 100% sure from the article, but I believe that this is a soccer stadium in England.

First soccer and then NASCAR racing, now golf. Besides the RFID-enabled golf balls that an American company is offering, an exclusive golf club near London is using RFID to ensure that only members use the course. The use of RFID was implemented primarily to allow the club to continue its practice of show-and-play for members. That is, no tee-off time needs to be booked, unless a player is a guest. [via RFID Journal]

RFID Can Track Mundane Information Too

Is it just me, or have you seen TV commercials depicting something like the shopping scene that Sophia Chua writes about at Ferret: A guy walks into a store and starts shoving items into his pockets. As he's leaving, a security guard stops him to give him his forgotten receipt. Seems everything in the store is RFID-tagged and there's no need to checkout, as RFID readers have done that for him, billing the smartcard in his pocket.

The closest I've experienced to this is at a large supermarket, where I could checkout my own items in the fancy new self-checkout lane. By waving the items in front of a barcode reader, I'd get a tally, then paying for everything with my ATM or credit card. It beat having to wait in line, and the store/ credit card company didn't collect any extra information from me than if I'd gone through a clerk-assisted checkout.

But had it been RFID, the items purchased would be tagged. And this is what troubles some people. No one is lurking around corners waiting with barcode readers to waiting to figure out what you purchased. But with RFID-tagging, what if someone has a wireless mesh grid set up with RFID readers, and they can figure out that I eat Count Chocula for breakfast instead of Mueslix? Or that I just finished shaving with those cheap plastic razors instead of a million-blade expensive razor? Or that I take my vibrating tootbrush for overnight romantic trysts with my secretary?

Okay, not so dire. At least, not yet, for shopping anyway.

Database of RFID Case Studies

IdTechEx is keeping a database of RFID applications [via Logistics Today] and trials from around the world. Here are a few salient points from the database, at the time of this writing.

(a) There are over 2000 case studies involving over 220 companies in 76 countries. Over three 300 of those studies were conducted or started between January and July 2006.

(b) The top 5 application areas were as follows:

(1) [410 cases] Retail, consumer goods.
(2) [352] Financial, security, safety.
(3) [292] Passenger transport, automotive.
(4) [236] Leisure, sports.
(5) [191] Land and sea logistics, postal.

I would have though that there'd be more applications in Healthcare [161 cases] or Manufacturing [152] studies. Thankfully, there is no "cyborg" area of study. Unless that's under Military [42 cases]. (In terms of national security, what I think would be interesting to track is how many of the countries participating in RFID studies are actually part of the United Nations.)

The case studies are not free, costing US$750 (€600) for one application area, or US$2800 (€2250) for all areas, for one year of access. Still, there is a substantial amount of information on the public pages, as well as sample reports for download.

RFID Contactless Payment: Too Much Information?

Despite a savings from RFID-enabled inventory control and claims last year of high success rates, retailer Tesco has been having problems with their RFID trials. The foremost of this has been from customer concerns, as well as getting agreement with suppliers on who'll pay for RFID tagging of product.

Wal-Mart has had similar problems with suppliers and, like Tesco, has delayed deadlines for RFID implementation in someof their stores, or rolling back projects altogether, despite trying to throw down ultimatums about RFID use.

Other problems are more technical, and include UHF (Ultra High Frequency) interference between other RFID readers, even from a distance of a few kilometers. Much of these technical problems come from the lack of a single RFID standard, as well as different regulations about radio frequency use from each country's government, sometimes their military.

On the consumer side, American grocery chain Piggly Wiggly has had problems with acceptance of their biometric scanners. While some biometric scanners have been combined with RFID, Piggly Wiggly's are not. But similar to RFID concerns, some people feel that biometric scanners, with or without RFID, just require too much
information that a retailer simply does not need from the consumer.

From the consumer point of view, why should they care if RFID or biometrics makes a retailer's life easier if it gives the consumer little benefit and violates their privacy? In their eyes, a fingerprint scan in the hands of the wrong person definitely constitutes that. So does someone intercepting info from their RFID smartcard. If a government's employees cannot even keep important laptops full of data out of the hands of thieves, they feel, what's to say that a retailer's employees won't steal information, or facilitate, the theft of data collected with RFID and/or biometrics?

To get around these problems, besides technical issues and government regulations, consumers concerns have to be addressed with incontrovertible evidence that RFID-based payment systems are secure. The perception is that this critical issue has not been dealt with yet, even from the point of view of technology-savvy people.

Rethinking Data Flow For RFID Deployment

One of the common complaints about RFID, from companies considering its use on their products, is that item-level RFID tags significantly bump up the cost of tracking product. With the conventional barcode, one code typically sufficed for all items of a specific product. With item-level RFID, every single item has to be treated distinctly from its siblings on a store shelf, or what have you.

So if you have 1000 items to send out to a distributor, your cost of manufacturing and shipping goes up by 1000 times the cost of an item level tag, not to mention the cost of pallet- and case-level RFID tags. As well, each item's RFID tag has to be programmed with a unique code in the manufacturer's database. In this case, that's 1000 RFID codes instead of one barcode.

Imagine if you manufactured millions of items per year. This forces an overhaul in a manufacturer's product database and in system software (data collection, querying, reporting). In other words, more costs to an RFID deployment project, when barcoding works well enough for most manufacturers. (Keep in mind that, often, its the distributors that want to track items.)

At item-level RFID tags running around 40 cents, it's not always financially feasible to use them for low-ticket items. Pallet- and case-level tags tend to not only be cheaper, but there's obviously less of them required for a shipment.

But the prices of item-level tags will go down. According to an article at Sterling Hoffman, Alien Technology announced a sub-ten cent passive RF chip at some point in the recent past. In fact, a Google search suggests the truth of the claim, but the linked URL does not exist on Alien's website. There is, however, a press release for a 12.9 cent EPC Class 1 chip. Still, RFID Times suggests that sub-five cent RFID tags will become commonplace, although probably not until 2013.

I don't doubt that the sub-ten cent barrier will be cracked, and likely well before 2013. It also helps that companies like Gillette recently ordered 500 mln chips. Evan Schuman at Storefront Talkback writes that 200 mln item-level tags will be sold this year out of a total of 1.3 bln RFID tags, followed by 2.2 bln next year. Procter & Gamble (new owners of Gillette - way to corner the razor market) is also conducting two RFID tests on their Fusion five-blade razors. (Which may explain why the darn things cost so much, and why I shave once a week now lol.)

These kinds of large orders will eventually bring the price of all types of RFID tags down. Unfortunately, most small vendors cannot currently afford to use item-level tags. This financial limitation hampers initiatives such as Wal-mart's plan to have all vendors eventually supply all their products complete with item-level RFID tags.

Alternatives being looked into included both "light-based" tags as well chip-less tags that created from thin-film transistor circuits and other means. Of course, there's always the option of combining RFID with barcoding, but that wouldn't let P&G know how many times a week I'm shaving.

TAGSYS designs RFID Reader for Libraries

TAGSYS has designed a WiFi enabled handheld, item-level RFID reader to enhance inventory tracking and management for libraries. 

The new reader facilitates handy, fast, reliable, accurate and secure tracking of books, periodicals, DVDs, CDs, documents, and other media.

The WiFi supported item-level RFID reader all together interrogates multiple items very quickly. Library's host PC or to a PDA receives data via WiFi. The reader can be easily carried with a shoulder or belt strap because of its lightweight and ergonomic design.

Elie Simon, the chief executive officer at TAGSYS said on the new launch,

Librarians have long expressed the need for a high-speed, ergonomic, remote access system to improve the accuracy and efficiency of the inventory management processes. The new RFID reader is also useful for other sectors that manage high-volumes of documents and materials. 

Via: [More RFid]

Blain Supply teams up with Catalyst

Blain Supply Inc. has teamed up with Catalyst International to apply a comprehensive demand management solution to reduce inventory costs and improve forecasting capabilities particularly on promotional items.

Before implementing CatalystConnect(TM) Demand Management, Blain has failed to provide accurate forecast. It has also experienced high user intervention rates in replenishment quantities and inadequate maintenance of inventory target levels. Now it has decided to bring rapid strides in its operations. For which the company has sought the partnership of Catalyst solution, software and services company spearheaded in building and implementing business solutions for the enterprises' needs in supply chain execution.

Brian Ziegler, VP of Management Information Systems, Blain Supply Inc. commented,

CatalystConnect Demand Management was the obvious choice as it met all of our requirements for a fast, reliable, cost-effective solution.

Via: [PRNewswire]

Manhattan Associates teams with New Balance

Manhattan Associates installed its Integrated Logistics Solutions for New Balance Athletic Shoe Inc. The New Balance Athletic Shoe is one of the growing footwear companies of America.

The footwear company will use Manhattan Associates' Warehouse Management, Transportation Management and Performance Management solutions in its Boston site. In addition to these services, Manhattan Associates has agreed to provide Slotting Optimisation solution to the largest shoe company.

Armand Teixeira, distribution manager of The New Balance Athletic Shoe explained that the Manhattan Associates' wide-ranging knowledge of the footwear business and the deep functionality of its solutions assisted make this project great solution. He further stated that the Manhattan Associates' solutions' built-in integration capabilities and ability to support high levels of automation were vital factor for New Balance's implementation. The footwear company will be able to bring down freight charges, eliminate back end processes and reduce labor costs by implementing RFID services of Manhattan Associates. 

Via: [Ferret]

Middle East Jewelry stores adopt RFID System

RFID technology is gaining momentum in Middle East. The business community of Middle East cannot but exploit this latest technology. Recently fifteen jewelry stores in the Middle East have started adopting RFID system to track the movement of each piece of jewelry. The Jewelry Store, established in Dubai has developed RFID system for the retail sectors of Middle East. The jewelry stores in Qatar , UAE and Bahrain are taking advantages of the system. The jewelry stores are using the RFID technology to keep record of the ornaments. By using RFID systems, the retailers are able to meet the demand of the customers.

Gold dominates the jewelry market of Dubai. The fluctuation in the price of gold also brings rise and fall in the insurance cost. When the insurance cost rises, then most of the retailers are forced out of business. London based company Standard Bank which has an office in Dubai is ready to own the jewelry by getting the inventory status report through RFID technology.

Via: [RFID Journal]

GSI provides supply chain training

The GSI Australia will provide supply chain training which is beneficial for the food industries. GSI has developed Supply Chain Knowledge Centre SCKC in this regard.  It acts like a hands-on interactive introduction to E-commerce tools and supply chain management practices.

Supply chain training is important to gain knowledge about bar codes, electronic messaging and EPC for RFID based identification.

Via: [Ferret]

Study: RFID reduces Out-of-Stock situations

The RFID technology has reduced Out-of-Stock rates at Wal-Mart considerably. According to the independent study conducted by the University of Arkansas, the out of stock (OOS) at Wal-Mart was 16 percent, which the researchers considers too low.

The University of Arkansas made a close look at the various implications of RFID technologies. The researcher group concluded their study in mid-September, last year. They collected OOS rated on about 4,000 stock-keeping units, some of which had RFID tags. The stock keep units that are not accessed to RFID technology have recorded 25 percent of OOS situations.  By utilizing RFID tagging, Wal Mart is able to reduce its Out of Stock situations.

Via: [RFID Journal]

New RFID Study from the AberdeenGroup

TrenStar, a Mobile asset management specialist, has sponsored a new RFID study from the Aberdeen Group.

The study's key findings re-emphasize the increasing importance of RFID in managing a company's logistics assets.

The report explains how logistics asset operations can consume 4 percent of a company's annual revenue, and one fifth or survey respondents spend more than 10 percent of annual revenue on logistics assets.

The report is available free of charge to attendees of at the RFID World tradeshow in Dallas this week. TrenStar's booth number is 1026.

You can also get the report at Trenstar's website.

Via [dBusinessNews]

The British Military and Rfid

The Ministry of Defence (MoD) in the United Kingdom with try out enhanced 'active'RFID tags which can read from distances of up to 60m. The military is doing this to be able to track its suppliues more effectively.

Readers will know that "passive" RFID chips can only track individual items when readers are closer.

The U.K. military is taking the lead of of the U.S. Military. The US Department of Defense has already spent around $100m over the last 10 years using active RFID tags to track its supplies.

Via [Zdnet]

RFID in Agriculture

With the rise of huge commercial farming conglomerates, it was only a matter of time before the efficiency and technological possibilities of RFID made their way into agriculture.  For a great explanation of how that is already happening, check this link out from the Material Handling Blog's Intro to Agriculture.

RFID Market Strategy Report

A research firm known as Research and Markets has just published their latest "RFID Market Strategy Report." The report, based on a survey of 526 radio frequency identification companies worldwide, argues that automotive companies, most of whom practice the just-in-time inventory strategy, would benefit using RFID. The report also has other findings: While predictions regarding RFID growth rates widely vary, most analysts agree about the opportunities that RFID holds. Also, the report warns that RFID deployment is not a good solution for all businesses' supply chain and inventory management needs. According to iTWeb:

Research and Markets claims that the worldwide RFID market was valued at $1.49 billion in 2004, including sectors such as RFID readers, active tags, passive tags, ICs, software and services.

In terms of an update on RFID industry trends for this year, the report notes that rapid growth rates predicted for RFID, based on the Wal-Mart compliance deadline of January 2005, did not materialise.

Read more: Auto industry needs RFID

Super RFID Tags

Instrumentel, a company with roots at the University of Leeds, has announced the development of a wireless and battery-less system that is ready for manufacture. Super RFID incorporates sensing using RFID tags that are capable of sensory perception in harsh environments. NUTRAIngredients.com reports:

Instrumentel’s core technology enables critical parameters to be sensed in harsh and difficult-to-access environments. The battery-less operation of the Instrumentel system allows readings or data transfer to take place at scan points in the supply chain for control and asset management.

Read more: UK team develops concept of sensory-perceptive RFID tags

RFID in South Korean Port

South Korea has implemented an radio frequency identification (RFID) system in order to better track cargo at the port city of Busan, the third largest port in the world. Savi Technology is the company involved in this major RFID project. The RFID tags will give information on location, security status, even environmental conditions inside the freight. This is yet another example of the growing RFID market in Asia. According to EETimes:

RFID projects have gained traction in Asia recently, with the Airport Authority of Hong Kong spending $3.5 million last year to implement RFID technology into its baggage handling system. China is also increasingly interested in RFID as Wal-Mart, one of its biggest purchasers, begins to roll out RFID technology throughout its supply chain.

Read more: South Korea rolls out RFID for cargo port

European Consumers Express RFID Privacy Concerns

A recent study of 2,000 European consumers by Capgemini revealed that more than half felt that RFID technology threatened their privacy. Retailers are increasingly using RFID for inventory control, from the distribution center to the store shelf to checkout. But what can be done to allay consumers' fears of the technology that becomes more prevalent with each passing day? Certainly privacy-protection legislation could make some feel more secure. Many consumers however see benefits arising from RFID and in the future, those who currently fear the privacy implications of the technology could come around to this side of the argument. According to InformationWeek:

Survey respondents say the tags will improve anti-theft measures, lead to faster recovery of stolen items, better security for prescription drugs, safer foods, faster and more reliable recall notices, quicker checkout, and reduced counterfeiting.

Ironically, the study reveals that making sure the product consumers want is on the shelf was one of the least important benefits from RFID, along with increased access to more products and in-aisle comparisons. Reducing the number of out-of-stock items has been a major reason retailers have touted their decision to deploy RFID in their supply chains.

Read more: Majority Of European Consumers Worry RFID Threatens Their Privacy, Survey Says

Starbucks Considers RFID Tags on Deliveries

RFID-enabled deliveries to Starbucks stores would make after-hours deliveries possible and allow employees to focus on customers, rather than shipments when they are received.

According to Information Week:

The company uses approximately 40,000 suppliers, many of which are regional companies that deliver fresh muffins and pastries daily.

So how does a company manage that many suppliers and keep its customers the top priority? Starbucks is looking at a strategy it's calling "dark deliveries," meaning that everything from milk to pastries to roasted coffee beans would be delivered after store hours, Dettloff says.

Read more: Starbucks Considers RFID For Deliveries